Category: Technical analysis

Technical analysis


Diamond Pattern

Diamond Bottom: Diamond pattern forms after a downward price trend. Breakout is upward. Short-term bullish reversal Facts: Throwbacks hurt performance but breakout day gaps help. Tall or wide patterns perform better than short or...


Cup with Handle Pattern

Looks like a cup profile with the handle on the right. The breakout is upward. It is Short-term bullish continuation. Facts: Patterns that are tall, have short handles, and a higher left cup lip...


Broadening Wedges

Prices follow two up-sloping trend lines that broaden out.  Breakout happens when the price breaks the trend line in downwards/upwards Facts: Throwbacks hurt performance. Patterns with heavy breakout volume perform better. Beware: Beware of...


Broadening Triangle Pattern

Broadening Triangle Ascending: Horizontal bottom with higher highs following an up-sloping trend line. Breakout is upward. It is Short-term bearish reversal. Facts: Tall patterns perform better than short ones. Patterns both tall and wide...


Broadening tops and bottom – Pattern 1

Broadening tops: Appearance: Price trend moving upwards forming a microphone like pattern. It makes lower lows and higher highs, then breaks the higher high zone causing the breakout. Volume: Volume should be greater than...